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Who profits from innovation in global value chains? A study of the iPod and notebook PCs

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  • Jason Dedrick
  • Kenneth L. Kraemer
  • Greg Linden
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    Abstract

    This article analyzes the distribution of financial value from innovation in the global supply chains of iPods and notebook computers. We find that Apple has captured a great deal of value from the innovation embodied in the iPod, while notebook makers capture a more modest share of the value from PC innovation. In order to understand these differences, we employ concepts from theories of innovation and industrial organization, finding significant roles for industry evolution, complementary assets, appropriability, system integration, and bargaining power. Copyright 2010 The Author 2009. Published by Oxford University Press on behalf of Associazione ICC. All rights reserved., Oxford University Press.

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    File URL: http://hdl.handle.net/10.1093/icc/dtp032
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    Bibliographic Info

    Article provided by Oxford University Press in its journal Industrial and Corporate Change.

    Volume (Year): 19 (2010)
    Issue (Month): 1 (February)
    Pages: 81-116

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    Handle: RePEc:oup:indcch:v:19:y:2010:i:1:p:81-116

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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Les aventures d'un Boeing dans l'économie globalisée
      by ? in D'un champ l'autre on 2014-05-04 16:01:00
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    Cited by:
    1. Timmer, Marcel P. & Los, Bart & Stehrer, Robert & de Vries, Gaaitzen, 2013. "Fragmentation, incomes and jobs: an analysis of European competitiveness," Working Paper Series 1615, European Central Bank.
    2. Leonhard Plank & Cornelia Staritz, 2013. "‘Precarious upgrading’ in electronics global production networks in Central and Eastern Europe: the cases of Hungary and Romania," Brooks World Poverty Institute Working Paper Series ctg-2013-31, BWPI, The University of Manchester.
    3. Wignaraja, Ganeshan, 2013. "Understanding Innovation in Production Networks in East Asia," ADBI Working Papers 410, Asian Development Bank Institute.
    4. Baldwin, Richard & Lopez-Gonzalez, Javier, 2013. "Supply-chain trade: A portrait of global patterns and several testable hypotheses," CEPR Discussion Papers 9421, C.E.P.R. Discussion Papers.
    5. Yücer, Aycil & Siroën, Jean-Marc & GUILHOTO, Joaquim, 2013. "Internal and International Vertical Specialization of Brazilian states– An Input-Output analysis," Economics Papers from University Paris Dauphine 123456789/11720, Paris Dauphine University.
    6. Szalavetz, Andrea, 2012. "Az immateriális beruházások és a nem közvetlenül a termelésben foglalkoztatottak szerepe a gazdasági felzárkózásban
      [The role intangible investments and non-production workers play in ec
      ," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(11), pages 1187-1206.
    7. Meng, Bo & Wang, Zhi & Koopman, Robert, 2013. "How are global value chains fragmented and extended in China's domestic production networks?," IDE Discussion Papers 424, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    8. Xing, Yuqing, 2012. "The People’s Republic of China’s High-tech Exports: Myth and Reality," ADBI Working Papers 357, Asian Development Bank Institute.
    9. Giulio Buciuni & Giancarlo Corò & Stefano Micelli, 2012. "Global competition in mature industries. Upgrading through manufacturing," Working Papers 1214, c.MET-05 - Centro interuniversitario di Economia Applicata alle Politiche per L'industria, lo Sviluppo locale e l'Internazionalizzazione.
    10. João Amador & Sónia Cabral, 2014. "Global Value Chains: Surveying Drivers, Measures and Impacts," Working Papers w201403, Banco de Portugal, Economics and Research Department.

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